A tax analyst has called on government to pilot the implementation and collection of the property rates in 2018.
According to William Owusu Demitia, a Senior Associate Consultant at Ali-Nakyea & Associates, this would help government identify key issues that has to be addressed before a nationwide implementation.
As part of measures to improve domestic resource mobilization, the Finance Minister during the 2018 budget reading announced that new tax reforms to be introduced by government this year will see an upward review of property rates as well as the intensification of its collection.
Speaking to Citi Business News, Mr Owusu Demitia said the implementation of the property rate is a step in the right direction.
“Renewed zeal for the collection of the property rate is welcome. Government should however take its time in implementing it. Government needs to get the valuation right and also get the public to understand the need for the property rate,” he advised.
Property income taxation has long been seen as an area largely neglected by Ghana’s tax authorities.
Enforcement of the tax has been weak, with property owners either not paying at all or deferring payment for years.
There’s also a general perception that properties are grossly undervalued by the assemblies.
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By: Bobbie Osei/citibusinessnews.com/Ghana